Annex A

DETAILS OF TAX CHANGES IN BUDGET 2000 AND THEIR EFFECTS ON DIFFERENT CATEGORIES OF TAXPAYERS

(i) DETAILS OF MAIN INCOME TAX CHANGES

(ii) EXAMPLES SHOWING THE EFFECTS OF BUDGET CHANGES ON DIFFERENT CATEGORIES OF MARRIED AND SINGLE TAXPAYERS

Examples 1 to 15 attached show for various categories of taxpayers the income tax, levy and PRSI payable under the existing and proposed structure together with the change in Child Benefit from September, 2000, and the effect of Family Income Supplement changes from May, 2000 for certain income groups and family types. The figures are rounded to the nearest pound. The examples are based on specimen incomes with the basic tax-free allowances/exemption limits only. They do not take account of discretionary reliefs.

(iii) AVERAGE TAX RATES

A table showing average tax rates before and after the Budget for various taxpaying groups is included after the examples.

(iv) INDIVIDUAL CASES

A number of illustrative cases are included to show the impact of tax and social welfare changes in the Budget on various households.


(i) DETAILS OF MAIN INCOME TAX CHANGES
[In Irish Pounds]
Personal Allowances   EXISTING PROPOSED INCREASE
     Basic Personal Allowances - at Standard Rate   £ £ £
      Single Persons 4,200 4,700 500
      Married Couples 8,400 9,400 1000
      PAYE 1,000 1,000 -
  EXISTING CONVERTED PROPOSED INCREASE
  at Marginal Rate to Standard Rate at Standard Rate at Standard Rate
     Additional Personal Allowance £ £ £ £
      Widowed Additional Allowance 500 500 1,000 500
      One-Parent Family Allowance (1)        
           Widowed/Other Parent 3150 (2) 4,200 4,700 500
  + 1,050 (3) -    
         
Other Allowances EXISTING CONVERTED PROPOSED INCREASE
  at Marginal Rate to Standard Rate at Standard Rate at Standard Rate
      Age Allowance £ £ £ £
            Single or widowed 400 400 800 400
            Married 800 800 1,600 800
         
      Blind Person's Allowance        
            Single or married (one spouse blind)  1,500 1,500 3,000 1,500
            Married (both spouses blind)    3,000 3,000 6,000 3,000
         
      Incapacitated Child Allowance 800 800 1,600 800
         
      Dependent Relative Allowance 110 110 220 110
         
      Widowed Parent Bereavement Allowance (4) 5,000 to 1,000 5,000 to 1,000 10,000 to 2,000 5,000 to 1,000
         
Tax Rates and Tax Bands EXISTING PROPOSED CHANGE  
    Rates        
      Standard Rate 24% 22% -2%  
      Top Rate 46% 44% -2%  
    Standard Rate Increase Top Rate
    Bands £ £ £ £
      Single/Widowed Persons 14,000 17,000 3,000 Balance
      Married Couples, One Income 28,000 28,000 0 Balance
      Married Couples, Two Incomes (5) 28,000 34,000 6,000 Balance
      One-Parent Families (1) 14,000 20,150 6,150 Balance
         
Exemption Limits  (6) EXISTING PROPOSED INCREASE
Single/Widowed   £ £ £
      General  Limit (Under 65 years of age)  4,100 4,100 0
      65 years of age and over   6,500 7,500 1000
Married      
      General  Limit (Under 65 years of age)  8,200 8,200 0
      65 years of age and over   13,000 15,000 2000
Notes        
1  The total personal allowances of a one-parent family, whether widowed or single parent will now be £9,400 at the standard rate.  To compensate 
    higher taxpayers for standard rating the £3,150 available at the marginal rate up to now, the standard band available to one-parent families has
    been increased to £20,150, i.e. £3,150 higher than the single band.
2  Includes the widowed additional allowance.
3  At the standard rate at present.
4  In the years after the year of bereavement, a widowed parent is also entitled to a widowed parent bereavement allowance.  This allowance is
    £5,000 in the year following the death of the spouse, reducing by £1,000 each year for five years at the taxpayer's marginal rate of tax.  The
     new allowance will be £10,000 which will be reduced by £2,000 each year but will be available at the standard rate of income tax.
5  The tax band of £34,000 available to married couples with two incomes is transferable between spouses up to a maximum of £28,000 for any
    one spouse [See Annex B].
 
6   The Marginal Relief rate will continue to apply at 40% where the income does not greatly exceed the relevant exemption limit.


(i) DETAILS OF MAIN INCOME TAX CHANGES
[Converted to Euros]
Personal Allowances   EXISTING PROPOSED INCREASE
     Basic Personal Allowances - at Standard Rate  
      Single Persons 5,333 5,968 635
      Married Couples 10,666 11,936 1,270
      PAYE 1,270 1,270 -
  EXISTING CONVERTED PROPOSED INCREASE
  at Marginal Rate to Standard Rate at Standard Rate at Standard Rate
     Additional Personal Allowance
      Widowed Additional Allowance 635 635 1,270 635
      One-Parent Family Allowance (1)        
          Widowed/Other Parent 4000 (2) 5,333 5,968 635
  + 1,333 (3) -    
         
Other Allowances EXISTING CONVERTED PROPOSED INCREASE
  at Marginal Rate to Standard Rate at Standard Rate at Standard Rate
      Age Allowance
            Single or widowed 508 508 1,016 508
            Married 1,016 1,016 2,032 1,016
         
      Blind Person's Allowance        
            Single or married (one spouse blind)  1,905 1,905 3,809 1,905
            Married (both spouses blind)    3,809 3,809 7,618 3,809
         
      Incapacitated Child Allowance 1,016 1,016 2,032 1,016
         
      Dependent Relative Allowance 140 140 279 140
         
      Widowed Parent Bereavement Allowance (4) 6,349 to 1,270 6,349 to 1,270 12,697 to 2539 6,349 to 1,270
         
Tax Rates and Tax Bands EXISTING PROPOSED CHANGE  
    Rates        
      Standard Rate 24% 22% -2%  
      Top Rate 46% 44% -2%  
    Standard Rate Increase Top Rate
    Bands
      Single/Widowed Persons 17,776 21,586 3,809 Balance
      Married Couples, One Income 35,553 35,553 0 Balance
      Married Couples, Two Incomes (5) 35,553 43,171 7,618 Balance
      One-Parent Families (1) 17,776 25,585 7,809 Balance
         
Exemption Limits  (6) EXISTING PROPOSED INCREASE
Single/Widowed  
      General  Limit (Under 65 years of age)  5,206 5,206 0
      65 years of age and over   8,253 9,523 1,270
Married      
      General  Limit (Under 65 years of age)  10,412 10,412 0
      65 years of age and over   16,507 19,046 2,539
Notes        
1  The total personal allowances of a one-parent family, whether widowed or single parent will now be €11,936 at the standard rate.  To compensate
    higher taxpayers for standard rating the €4,000 available at the marginal rate up to now, the standard band available to one-parent families has
    been increased to €25,585, i.e. €4,000 higher than the single band.
2  Includes the widowed additional allowance.
3  At the standard rate at present.
4  In the years after the year of bereavement, a widowed parent is also entitled to a widowed parent bereavement allowance.  This allowance is
    €6,349 in the year following the death of the spouse, reducing by €1,270 each year for five years at the taxpayer's marginal rate of tax.  The
     new allowance will be €12,697 which will be reduced by €2,539 each year but will be available at the standard rate of income tax.
5  The tax band of €43,171 available to married couples with two incomes is transferable between spouses up to a maximum of €35,553 for any
    one spouse [See Annex B].
 
6   The Marginal Relief rate will continue to apply at 40% where the income does not greatly exceed the relevant exemption limit.

Example 1-    Married couple, one income, no children taxed under PAYE 
   Full rate PRSI contributor
  PRSI/Levy Tax   Gain as
TOTAL Liability Liability Total % of Net
INCOME Existing Proposed Existing Proposed Gain Income
£ £ £ £ £ £ %
9,000 171 171 0 0 0 0.0
10,000 216 216 144 0 144 1.5
11,000 261 261 384 132 252 2.4
12,000 546 546 624 352 272 2.5
13,000 611 611 864 572 292 2.5
14,000 676 676 1,104 792 312 2.6
15,000 741 741 1,344 1,012 332 2.6
16,000 806 806 1,584 1,232 352 2.6
17,000 871 871 1,824 1,452 372 2.6
18,000 936 936 2,064 1,672 392 2.6
20,000 1,066 1,066 2,544 2,112 432 2.6
22,000 1,196 1,196 3,024 2,552 472 2.7
24,000 1,326 1,326 3,504 2,992 512 2.7
26,000 1,434 1,456 3,984 3,432 530 2.6
28,000 1,487 1,528 4,464 3,872 551 2.5
30,000 1,541 1,586 5,384 4,752 587 2.5
35,000 1,672 1,713 7,684 6,952 691 2.7
40,000 1,790 1,835 9,984 9,152 787 2.8
45,000 1,908 1,953 12,284 11,352 887 2.9
50,000 2,022 2,067 14,584 13,552 987 3.0


Example 2-    Married couple, one income, two children taxed under PAYE 
   Full rate PRSI contributor
  PRSI/Levy Tax Child   Gain as Total Gain Gain including
TOTAL Liability Liability Benefit Total % of Net where  FIS  FIS as % of
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income applies (b) Net Income
£ £ £ £ £ £ £ % £ %
9,000 171 171 0 0 112 112 1.2 448 3.8
10,000 216 216 144 0 112 256 2.5 544 4.5
11,000 261 261 384 132 112 364 3.3 604 4.8
12,000 546 546 624 352 112 384 3.3 576 4.5
13,000 611 611 864 572 112 404 3.3 596 4.6
14,000 676 676 1,104 792 112 424 3.3 568 4.3
15,000 741 741 1,344 1,012 112 444 3.2 444 3.2
16,000 806 806 1,584 1,232 112 464 3.2 464 3.2
17,000 871 871 1,824 1,452 112 484 3.2 484 3.2
18,000 936 936 2,064 1,672 112 504 3.2 504 3.2
20,000 1,066 1,066 2,544 2,112 112 544 3.2 544 3.2
22,000 1,196 1,196 3,024 2,552 112 584 3.1 584 3.1
24,000 1,326 1,326 3,504 2,992 112 624 3.1 624 3.1
26,000 1,434 1,456 3,984 3,432 112 642 3.0 642 3.0
28,000 1,487 1,528 4,464 3,872 112 663 2.9 663 2.9
30,000 1,541 1,586 5,384 4,752 112 699 2.9 699 2.9
35,000 1,672 1,713 7,684 6,952 112 803 3.0 803 3.0
40,000 1,790 1,835 9,984 9,152 112 899 3.1 899 3.1
45,000 1,908 1,953 12,284 11,352 112 999 3.2 999 3.2
50,000 2,022 2,067 14,584 13,552 112 1,099 3.2 1,099 3.2
(a)  Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from September, 2000.    
(b)  The two last columns show the total gain where Family Income Supplement (FIS) is taken up in both years.  The gain includes    
       the value during the tax year 2000/01 of the improvements in FIS made in this Budget which take effect from May, 2000.    


Example 3-    Married couple, one income, four children taxed under PAYE 
   Full rate PRSI contributor
  PRSI/Levy Tax Child   Gain as Total Gain Gain including
TOTAL Liability Liability Benefit Total % of Net where  FIS  FIS as % of
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income applies (b) Net Income
£ £ £ £ £ £ £ % £ %
9,000 171 171 0 0 252 252 2.4 588 4.2
10,000 216 216 0 0 252 252 2.2 588 4.1
11,000 261 261 240 132 252 360 2.9 696 4.7
12,000 546 546 624 352 252 524 4.1 716 4.8
13,000 611 611 864 572 252 544 4.1 736 4.8
14,000 676 676 1,104 792 252 564 4.0 804 5.2
15,000 741 741 1,344 1,012 252 584 4.0 776 4.9
16,000 806 806 1,584 1,232 252 604 3.9 796 5.0
17,000 871 871 1,824 1,452 252 624 3.9 720 4.4
18,000 936 936 2,064 1,672 252 644 3.8 644 3.8
20,000 1,066 1,066 2,544 2,112 252 684 3.7 684 3.7
22,000 1,196 1,196 3,024 2,552 252 724 3.7 724 3.7
24,000 1,326 1,326 3,504 2,992 252 764 3.6 764 3.6
26,000 1,434 1,456 3,984 3,432 252 782 3.5 782 3.5
28,000 1,487 1,528 4,464 3,872 252 803 3.4 803 3.4
30,000 1,541 1,586 5,384 4,752 252 839 3.4 839 3.4
35,000 1,672 1,713 7,684 6,952 252 943 3.4 943 3.4
40,000 1,790 1,835 9,984 9,152 252 1,039 3.5 1,039 3.5
45,000 1,908 1,953 12,284 11,352 252 1,139 3.5 1,139 3.5
50,000 2,022 2,067 14,584 13,552 252 1,239 3.5 1,239 3.5
(a)  Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from September, 2000.
(b)  The two last columns show the total gain where Family Income Supplement (FIS) is taken up in both years.  The gain includes
       the value during the tax year 2000/01 of the improvements in FIS made in this Budget which take effect from May, 2000.


Example 4-    Married couple, two incomes, two children taxed under PAYE 
   Full rate PRSI contributors
  PRSI/Levy Tax Child   Gain as Total Gain Gain including
TOTAL Liability Liability Benefit Total % of Net where  FIS  FIS as % of
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income applies (b) Net Income
£ £ £ £ £ £ £ % £ %
9,000 0 0 0 0 112 112 1.1 448 3.8
10,000 0 0 0 0 112 112 1.0 496 4.0
11,000 27 27 144 0 112 256 2.2 544 4.3
12,000 72 72 384 132 112 364 2.9 604 4.7
13,000 117 117 624 352 112 384 2.9 528 4.0
14,000 162 162 864 572 112 404 2.9 404 2.9
15,000 207 207 1,104 792 112 424 2.9 424 2.9
16,000 252 252 1,344 1,012 112 444 2.9 444 2.9
17,000 297 297 1,584 1,232 112 464 2.9 464 2.9
18,000 342 342 1,824 1,452 112 484 2.9 484 2.9
20,000 432 432 2,304 1,892 112 524 2.9 524 2.9
22,000 522 522 2,784 2,332 112 564 2.9 564 2.9
24,000 1,092 1,092 3,264 2,772 112 604 3.0 604 3.0
26,000 1,222 1,222 3,744 3,212 112 644 2.9 644 2.9
28,000 1,352 1,352 4,224 3,652 112 684 2.9 684 2.9
30,000 1,482 1,482 5,144 4,092 112 1,164 4.8 1,164 4.8
35,000 1,807 1,807 7,444 5,412 112 2,144 8.1 2,144 8.1
40,000 2,132 2,132 9,744 7,612 112 2,244 7.8 2,244 7.8
45,000 2,457 2,457 12,044 9,812 112 2,344 7.5 2,344 7.5
50,000 2,782 2,782 14,344 12,012 112 2,444 7.3 2,444 7.3
The two earning married examples assume that both spouses are earning equal amounts.      
(a)  Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from September, 2000.
(b)  The two last columns show the total gain where Family Income Supplement (FIS) is taken up in both years.  The gain includes
       the value during the tax year 2000/01 of the improvements in FIS made in this Budget which take effect from May, 2000.

Example 5-         Single person taxed under PAYE 
        Full rate PRSI contributor
  PRSI/Levy Tax   Gain as
TOTAL Liability Liability Total % of Net
INCOME Existing Proposed Existing Proposed Gain Income
£ £ £ £ £ £ %
6,000 36 36 192 66 126 2.2
7,000 81 81 432 286 146 2.3
8,000 126 126 672 506 166 2.3
9,000 171 171 912 726 186 2.3
10,000 216 216 1,152 946 206 2.4
11,000 261 261 1,392 1,166 226 2.4
12,000 546 546 1,632 1,386 246 2.5
13,000 611 611 1,872 1,606 266 2.5
14,000 676 676 2,112 1,826 286 2.6
15,000 741 741 2,572 2,046 526 4.5
16,000 806 806 3,032 2,266 766 6.3
17,000 871 871 3,492 2,486 1,006 8.0
18,000 936 936 3,952 2,926 1,026 7.8
20,000 1,066 1,066 4,872 3,806 1,066 7.6
25,000 1,391 1,391 7,172 6,006 1,166 7.1
30,000 1,541 1,586 9,472 8,206 1,221 6.4
35,000 1,672 1,713 11,772 10,406 1,325 6.1
40,000 1,790 1,835 14,072 12,606 1,421 5.9
45,000 1,908 1,953 16,372 14,806 1,521 5.7
50,000 2,022 2,067 18,672 17,006 1,621 5.5


Example 6-    Married couple, one income, no children taxed under PAYE 
   Modified rate PRSI contributor
  PRSI/Levy Tax   Gain as
TOTAL Liability Liability Total % of Net
INCOME Existing Proposed Existing Proposed Gain Income
£ £ £ £ £ £ %
9,000 72 72 0 0 0 0.0
10,000 81 81 144 0 144 1.5
11,000 90 90 384 132 252 2.4
12,000 339 339 624 352 272 2.5
13,000 368 368 864 572 292 2.5
14,000 397 397 1,104 792 312 2.5
15,000 426 426 1,344 1,012 332 2.5
16,000 455 455 1,584 1,232 352 2.5
17,000 484 484 1,824 1,452 372 2.5
18,000 513 513 2,064 1,672 392 2.5
20,000 571 571 2,544 2,112 432 2.6
22,000 629 629 3,024 2,552 472 2.6
24,000 687 687 3,504 2,992 512 2.6
26,000 739 745 3,984 3,432 546 2.6
28,000 780 790 4,464 3,872 582 2.6
30,000 821 830 5,384 4,752 623 2.6
35,000 922 931 7,684 6,952 723 2.7
40,000 1,022 1,032 9,984 9,152 822 2.8
45,000 1,123 1,133 12,284 11,352 922 2.9
50,000 1,224 1,233 14,584 13,552 1,023 3.0

Example 7-    Married couple, one income, two children taxed under PAYE 
   Modified rate PRSI contributor
  PRSI/Levy Tax Child   Gain as Total Gain Gain including
TOTAL Liability Liability Benefit Total % of Net where  FIS  FIS as % of
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income applies (b) Net Income
£ £ £ £ £ £ £ % £ %
9,000 72 72 0 0 112 112 1.2 496 4.2
10,000 81 81 144 0 112 256 2.4 544 4.5
11,000 90 90 384 132 112 364 3.2 604 4.8
12,000 339 339 624 352 112 384 3.2 624 4.9
13,000 368 368 864 572 112 404 3.2 596 4.6
14,000 397 397 1,104 792 112 424 3.2 664 5.0
15,000 426 426 1,344 1,012 112 444 3.2 444 3.2
16,000 455 455 1,584 1,232 112 464 3.1 464 3.1
17,000 484 484 1,824 1,452 112 484 3.1 484 3.1
18,000 513 513 2,064 1,672 112 504 3.1 504 3.1
20,000 571 571 2,544 2,112 112 544 3.1 544 3.1
22,000 629 629 3,024 2,552 112 584 3.1 584 3.1
24,000 687 687 3,504 2,992 112 624 3.0 624 3.0
26,000 739 745 3,984 3,432 112 658 3.0 658 3.0
28,000 780 790 4,464 3,872 112 694 2.9 694 2.9
30,000 821 830 5,384 4,752 112 735 3.0 735 3.0
35,000 922 931 7,684 6,952 112 835 3.1 835 3.1
40,000 1,022 1,032 9,984 9,152 112 934 3.1 934 3.1
45,000 1,123 1,133 12,284 11,352 112 1,034 3.2 1,034 3.2
50,000 1,224 1,233 14,584 13,552 112 1,135 3.2 1,135 3.2
(a)  Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from September, 2000.
(b)  The two last columns show the total gain where Family Income Supplement (FIS) is taken up in both years.  The gain includes
       the value during the tax year 2000/01 of the improvements in FIS made in this Budget which take effect from May, 2000.

Example 8-    Married couple, one income, four children taxed under PAYE 
   Modified rate PRSI contributor
  PRSI/Levy Tax Child   Gain as Total Gain Gain including
TOTAL Liability Liability Benefit Total % of Net where  FIS  FIS as % of
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income applies (b) Net Income
£ £ £ £ £ £ £ % £ %
9,000 72 72 0 0 252 252 2.3 636 4.5
10,000 81 81 0 0 252 252 2.1 636 4.4
11,000 90 90 240 132 252 360 2.9 696 4.7
12,000 339 339 624 352 252 524 4.1 764 5.1
13,000 368 368 864 572 252 544 4.0 736 4.8
14,000 397 397 1,104 792 252 564 3.9 756 4.8
15,000 426 426 1,344 1,012 252 584 3.9 776 4.9
16,000 455 455 1,584 1,232 252 604 3.8 796 4.9
17,000 484 484 1,824 1,452 252 624 3.8 864 5.2
18,000 513 513 2,064 1,672 252 644 3.7 644 3.7
20,000 571 571 2,544 2,112 252 684 3.6 684 3.6
22,000 629 629 3,024 2,552 252 724 3.6 724 3.6
24,000 687 687 3,504 2,992 252 764 3.5 764 3.5
26,000 739 745 3,984 3,432 252 798 3.4 798 3.4
28,000 780 790 4,464 3,872 252 834 3.4 834 3.4
30,000 821 830 5,384 4,752 252 875 3.4 875 3.4
35,000 922 931 7,684 6,952 252 975 3.5 975 3.5
40,000 1,022 1,032 9,984 9,152 252 1,074 3.5 1,074 3.5
45,000 1,123 1,133 12,284 11,352 252 1,174 3.5 1,174 3.5
50,000 1,224 1,233 14,584 13,552 252 1,275 3.5 1,275 3.5
(a)  Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from September, 2000.
(b)  The two last columns show the total gain where Family Income Supplement (FIS) is taken up in both years.  The gain includes
       the value during the tax year 2000/01 of the improvements in FIS made in this Budget which take effect from May, 2000.


Example 9-    Married couple, two incomes, two children taxed under PAYE 
   Modified rate PRSI contributors
  PRSI/Levy Tax Child   Gain as Total Gain Gain including
TOTAL Liability Liability Benefit Total % of Net where  FIS  FIS as % of
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income applies (b) Net Income
£ £ £ £ £ £ £ % £ %
9,000 62 62 0 0 112 112 1.2 496 4.2
10,000 71 71 0 0 112 112 1.0 496 4.0
11,000 80 80 144 0 112 256 2.2 544 4.3
12,000 89 89 384 132 112 364 3.0 604 4.7
13,000 98 98 624 352 112 384 2.9 480 3.6
14,000 107 107 864 572 112 404 2.9 404 2.9
15,000 116 116 1,104 792 112 424 2.9 424 2.9
16,000 125 125 1,344 1,012 112 444 2.9 444 2.9
17,000 134 134 1,584 1,232 112 464 2.9 464 2.9
18,000 143 143 1,824 1,452 112 484 2.9 484 2.9
20,000 161 161 2,304 1,892 112 524 2.9 524 2.9
22,000 179 179 2,784 2,332 112 564 2.8 564 2.8
24,000 677 677 3,264 2,772 112 604 2.9 604 2.9
26,000 735 735 3,744 3,212 112 644 2.9 644 2.9
28,000 793 793 4,224 3,652 112 684 2.9 684 2.9
30,000 851 851 5,144 4,092 112 1,164 4.7 1,164 4.7
35,000 996 996 7,444 5,412 112 2,144 7.8 2,144 7.8
40,000 1,141 1,141 9,744 7,612 112 2,244 7.5 2,244 7.5
45,000 1,286 1,286 12,044 9,812 112 2,344 7.2 2,344 7.2
50,000 1,431 1,431 14,344 12,012 112 2,444 7.0 2,444 7.0
The two earning married examples assume that both spouses are earning equal amounts.      
(a)  Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from September, 2000.
(b)  The two last columns show the total gain where Family Income Supplement (FIS) is taken up in both years.  The gain includes
       the value during the tax year 2000/01 of the improvements in FIS made in this Budget which take effect from May, 2000.


Example 10-         Single person taxed under PAYE 
        Modified rate PRSI contributor
  PRSI/Levy Tax   Gain as
TOTAL Liability Liability Total % of Net
INCOME Existing Proposed Existing Proposed Gain Income
£ £ £ £ £ £ %
5,000 36 36 0 0 0 0.0
6,000 45 45 192 66 126 2.2
7,000 54 54 432 286 146 2.2
8,000 63 63 672 506 166 2.3
9,000 72 72 912 726 186 2.3
10,000 81 81 1,152 946 206 2.3
11,000 90 90 1,392 1,166 226 2.4
12,000 339 339 1,632 1,386 246 2.5
13,000 368 368 1,872 1,606 266 2.5
14,000 397 397 2,112 1,826 286 2.5
15,000 426 426 2,572 2,046 526 4.4
16,000 455 455 3,032 2,266 766 6.1
17,000 484 484 3,492 2,486 1,006 7.7
18,000 513 513 3,952 2,926 1,026 7.6
20,000 571 571 4,872 3,806 1,066 7.3
25,000 716 716 7,172 6,006 1,166 6.8
30,000 821 830 9,472 8,206 1,257 6.4
35,000 922 931 11,772 10,406 1,357 6.1
40,000 1,022 1,032 14,072 12,606 1,456 5.8
45,000 1,123 1,133 16,372 14,806 1,556 5.7
50,000 1,224 1,233 18,672 17,006 1,657 5.5

Example 11-    Married couple, one income, no children
   Taxed under Schedule D
  PRSI/Levy Tax   Gain as
TOTAL Liability Liability Total % of Net
INCOME Existing Proposed Existing Proposed Gain Income
£ £ £ £ £ £ %
9,000 398 398 144 0 144 1.7
10,000 448 448 384 132 252 2.7
11,000 498 498 624 352 272 2.8
12,000 788 788 864 572 292 2.8
13,000 858 858 1,104 792 312 2.8
14,000 928 928 1,344 1,012 332 2.8
15,000 998 998 1,584 1,232 352 2.8
16,000 1,068 1,068 1,824 1,452 372 2.8
17,000 1,138 1,138 2,064 1,672 392 2.8
18,000 1,208 1,208 2,304 1,892 412 2.8
20,000 1,348 1,348 2,784 2,332 452 2.8
22,000 1,488 1,488 3,264 2,772 492 2.9
24,000 1,628 1,628 3,744 3,212 532 2.9
26,000 1,738 1,768 4,224 3,652 542 2.7
28,000 1,778 1,833 4,704 4,092 557 2.6
30,000 1,818 1,873 5,624 4,972 597 2.6
35,000 1,918 1,973 7,924 7,172 697 2.8
40,000 2,018 2,073 10,224 9,372 797 2.9
45,000 2,118 2,173 12,524 11,572 897 3.0
50,000 2,218 2,273 14,824 13,772 997 3.0


Example 12-    Married couple, one income, two children  
   Taxed under Schedule D
   
  PRSI/Levy Tax Child   Gain as
TOTAL Liability Liability Benefit Total % of Net
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income
£ £ £ £ £ £ £ %
9,000 398 398 0 0 112 112 1.2
10,000 448 448 360 132 112 340 3.4
11,000 498 498 624 352 112 384 3.6
12,000 788 788 864 572 112 404 3.6
13,000 858 858 1,104 792 112 424 3.6
14,000 928 928 1,344 1,012 112 444 3.5
15,000 998 998 1,584 1,232 112 464 3.5
16,000 1,068 1,068 1,824 1,452 112 484 3.5
17,000 1,138 1,138 2,064 1,672 112 504 3.5
18,000 1,208 1,208 2,304 1,892 112 524 3.4
20,000 1,348 1,348 2,784 2,332 112 564 3.4
22,000 1,488 1,488 3,264 2,772 112 604 3.3
24,000 1,628 1,628 3,744 3,212 112 644 3.3
26,000 1,738 1,768 4,224 3,652 112 654 3.1
28,000 1,778 1,833 4,704 4,092 112 669 3.0
30,000 1,818 1,873 5,624 4,972 112 709 3.0
35,000 1,918 1,973 7,924 7,172 112 809 3.1
40,000 2,018 2,073 10,224 9,372 112 909 3.2
45,000 2,118 2,173 12,524 11,572 112 1,009 3.2
50,000 2,218 2,273 14,824 13,772 112 1,109 3.3
(a)   Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from  
        September, 2000.


Example 13-    Married couple, one income, four children 
   Taxed under Schedule D
  PRSI/Levy Tax Child   Gain as
TOTAL Liability Liability Benefit Total % of Net
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income
£ £ £ £ £ £ £ %
9,000 398 398 0 0 252 252 2.4
10,000 448 448 0 0 252 252 2.2
11,000 498 498 240 240 252 252 2.1
12,000 788 788 640 572 252 320 2.6
13,000 858 858 1,040 792 252 500 3.9
14,000 928 928 1,344 1,012 252 584 4.3
15,000 998 998 1,584 1,232 252 604 4.2
16,000 1,068 1,068 1,824 1,452 252 624 4.2
17,000 1,138 1,138 2,064 1,672 252 644 4.1
18,000 1,208 1,208 2,304 1,892 252 664 4.1
20,000 1,348 1,348 2,784 2,332 252 704 4.0
22,000 1,488 1,488 3,264 2,772 252 744 3.9
24,000 1,628 1,628 3,744 3,212 252 784 3.8
26,000 1,738 1,768 4,224 3,652 252 794 3.6
28,000 1,778 1,833 4,704 4,092 252 809 3.5
30,000 1,818 1,873 5,624 4,972 252 849 3.5
35,000 1,918 1,973 7,924 7,172 252 949 3.5
40,000 2,018 2,073 10,224 9,372 252 1,049 3.5
45,000 2,118 2,173 12,524 11,572 252 1,149 3.6
50,000 2,218 2,273 14,824 13,772 252 1,249 3.6
(a)   Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from  
        September, 2000.


Example 14-    Married couple, two incomes, two children  
   Taxed under Schedule D
  PRSI/Levy Tax Child   Gain as
TOTAL Liability Liability Benefit Total % of Net
INCOME Existing Proposed Existing Proposed Increase (a) Gain Income
£ £ £ £ £ £ £ %
9,000 430 430 0 0 112 112 1.2
10,000 430 430 360 132 112 340 3.4
11,000 446 446 624 352 112 384 3.6
12,000 496 496 864 572 112 404 3.5
13,000 546 546 1,104 792 112 424 3.5
14,000 596 596 1,344 1,012 112 444 3.5
15,000 646 646 1,584 1,232 112 464 3.4
16,000 696 696 1,824 1,452 112 484 3.4
17,000 746 746 2,064 1,672 112 504 3.4
18,000 796 796 2,304 1,892 112 524 3.3
20,000 896 896 2,784 2,332 112 564 3.3
22,000 996 996 3,264 2,772 112 604 3.3
24,000 1,576 1,576 3,744 3,212 112 644 3.3
26,000 1,716 1,716 4,224 3,652 112 684 3.3
28,000 1,856 1,856 4,704 4,092 112 724 3.3
30,000 1,996 1,996 5,624 4,532 112 1,204 5.2
35,000 2,346 2,346 7,924 5,852 112 2,184 8.6
40,000 2,696 2,696 10,224 8,052 112 2,284 8.2
45,000 3,046 3,046 12,524 10,252 112 2,384 7.9
50,000 3,396 3,396 14,824 12,452 112 2,484 7.6
The two earning married examples assume that both spouses are earning equal amounts.    
(a)   Value during the 2000/01 tax year of the increase in Child Benefit made in the Budget, which is effective from
        September, 2000.


Example 15-         Single person taxed under Schedule D 
  PRSI/Levy Tax   Gain as
TOTAL Liability Liability Total % of Net
INCOME Existing Proposed Existing Proposed Gain Income
£ £ £ £ £ £ %
5,000 215 215 192 66 126 2.7
6,000 248 248 432 286 146 2.7
7,000 298 298 672 506 166 2.8
8,000 348 348 912 726 186 2.8
9,000 398 398 1,152 946 206 2.8
10,000 448 448 1,392 1,166 226 2.8
11,000 498 498 1,632 1,386 246 2.8
12,000 788 788 1,872 1,606 266 2.8
13,000 858 858 2,112 1,826 286 2.9
14,000 928 928 2,352 2,046 306 2.9
15,000 998 998 2,812 2,266 546 4.9
16,000 1,068 1,068 3,272 2,486 786 6.7
17,000 1,138 1,138 3,732 2,706 1,026 8.5
18,000 1,208 1,208 4,192 3,146 1,046 8.3
20,000 1,348 1,348 5,112 4,026 1,086 8.0
25,000 1,698 1,698 7,412 6,226 1,186 7.5
30,000 1,818 1,873 9,712 8,426 1,231 6.7
35,000 1,918 1,973 12,012 10,626 1,331 6.3
40,000 2,018 2,073 14,312 12,826 1,431 6.0
45,000 2,118 2,173 16,612 15,026 1,531 5.8
50,000 2,218 2,273 18,912